Following a strong performance in July, California’s housing market pulled back in August as mortgage rates continued to inch up, although sales of condominiums and townhomes remained robust “The condo and townhome market has been performing exceptionally well, as rising single-family home prices and limited inventory prompted many buyers to look for a more affordable alternative,” said C.A.R. President Don Faught. “In fact, sales of condominiums and townhomes surged almost 8 percent from last August and are up nearly 5 percent year to date compared to last year.”
Home prices continued in an upward trend in August, reaching levels not seen in more than five years. The statewide median price of an existing, single-family detached home was up 1.7 percent from July’s median price of $433,910 to reach $441,330 in August, the highest price recorded since December 2007. August’s price was 28.4 percent higher than the revised $343,800 recorded in August 2012, marking a year and a half of annual price increases and the 14th straight month of double-digit annual gains. The median sales price is the point at which half of homes sold for more and half sold for less; it is influenced by the types of homes selling as well as a general change in values.